Republicans seek elusive path to restoring DHS funding

House Budget Chair Jodey Arrington is in informal talks with Senate Budget Chair Lindsey Graham about a second reconciliation bill to fund the Pentagon and potentially the Department of Homeland Security, after DHS funding negotiations stalled. Arrington told Axios on Monday that reconciliation is "the only path to a defense supplemental" and said he is open to adding DHS funding, framing it as a public safety issue. President Trump has blocked a Democratic deal to reopen DHS and rejected Senate Majority Leader John Thune's proposal to fund ICE separately through reconciliation, instead demanding Republicans pass his SAVE America Act first. Graham is convening GOP members this week to discuss the second reconciliation bill, though any package would require offsets in savings—Arrington suggested using fraud recoveries, tariff revenue, or changes to Affordable Care Act payments. Arrington said Republicans have roughly 60 to 90 days to complete the bill before July 4.